Globe Life (GL) versus Its Competitors Head-To-Head Contrast

Globe Life (NYSE:GL) is one of 311 publicly-traded companies in the “Insurance” industry, but how does it contrast to its rivals? We will compare Globe Life to related businesses based on the strength of its valuation, analyst recommendations, risk, profitability, dividends, earnings and institutional ownership.

Volatility and Risk

Globe Life has a beta of 0.47, meaning that its share price is 53% less volatile than the S&P 500. Comparatively, Globe Life’s rivals have a beta of -1.59, meaning that their average share price is 259% less volatile than the S&P 500.

Analyst Recommendations

This is a summary of recent ratings and price targets for Globe Life and its rivals, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Globe Life	0	3	7	1	2.82
Globe Life Competitors	3340	15698	16545	743	2.40

Globe Life currently has a consensus price target of $181.50, suggesting a potential upside of 10.97%. As a group, “Insurance” companies have a potential upside of 4.73%. Given Globe Life’s stronger consensus rating and higher probable upside, equities research analysts plainly believe Globe Life is more favorable than its rivals.

Dividends

Globe Life pays an annual dividend of $1.32 per share and has a dividend yield of 0.8%. Globe Life pays out 8.8% of its earnings in the form of a dividend. As a group, “Insurance” companies pay a dividend yield of 2.9% and pay out 31.1% of their earnings in the form of a dividend. Globe Life has raised its dividend for 20 consecutive years.

Profitability

This table compares Globe Life and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Globe Life	18.89%	19.51%	3.91%
Globe Life Competitors	8.69%	-9.86%	4.10%

Earnings and Valuation

This table compares Globe Life and its rivals revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Globe Life	$5.99 billion	$1.16 billion	10.94
Globe Life Competitors	$15.35 billion	$1.70 billion	34.32

Globe Life’s rivals have higher revenue and earnings than Globe Life. Globe Life is trading at a lower price-to-earnings ratio than its rivals, indicating that it is currently more affordable than other companies in its industry.

Insider & Institutional Ownership

81.6% of Globe Life shares are held by institutional investors. Comparatively, 55.8% of shares of all “Insurance” companies are held by institutional investors. 2.1% of Globe Life shares are held by insiders. Comparatively, 13.5% of shares of all “Insurance” companies are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Summary

Globe Life beats its rivals on 9 of the 15 factors compared.

About Globe Life

Globe Life Inc. is a U.S.-based insurance holding company that provides life and supplemental health insurance through its subsidiaries. Its products include term and whole life insurance, Medicare Supplement insurance, and supplemental health coverage such as accident, cancer, and critical illness policies. The company distributes insurance through a mix of exclusive agents, independent agents, and direct marketing. Its operating companies include Globe Life and Accident Insurance Company, American Income Life, Liberty National, Family Heritage Life, and United American.